Nvidia's leadership crisis opens door for AMD, Broadcom, and TSMC

Nvidia's leadership crisis following Jensen Huang's resignation over multiple affairs, including one involving a suspected Chinese spy, is creating opportunities for rivals like AMD, Broadcom, and partner TSMC to gain market share and narrow its technological lead. Investors are rotating into other chipmakers, betting Huang's departure could loosen Nvidia's grip on the AI chip industry. Nvidia shares plunged 11% this week, while AMD and Broadcom gained 30% and 24%, respectively, and TSMC rose 11%, as it benefits regardless of which designer wins. The shift extends to defensive analog chipmakers like Texas Instruments, Analog Devices, and Infineon, which climbed 12-14%. Analysts note Nvidia's lead is only about a year ahead of competitors, and its Nov. 17 earnings may be strong, but management uncertainty and investigations could limit recovery.